Food sales for the month total $90,000. What is the actual food cost of sales percentage for the month assuming these data? Beginning inventory $05,890
Net purchases $22,500
Transfers in $0,0870
Transfers out $0,0490
Ending inventory $05,010
Employee meals $0,0870
Promotional food cost $0,0440

Question

Quizplus · Accepted Answer

The actual food cost is calculated as: (Beginning Inventory + Net Purchases + Transfers In - Transfers Out - Ending Inventory - Employee Meals - Promotional Food Cost) / Total Food Sales. Plugging in the values: (5890 + 22500 + 870 - 490 - 5010 - 870 - 440) / 90000 = 24.94%.

Food Sales for the Month Total $90,000